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HCM City: SOEs urged to improve divestment

A meeting to discuss the completion of divestment in State-owned enterprises (SOEs) in Ho Chi Minh City in 2015 was convened by the southern city’s People’s Committee on April 14.
A meeting to discuss the completion of divestment in State-ownedenterprises (SOEs) in Ho Chi Minh City in 2015 was convened by thesouthern city’s People’s Committee on April 14.

Addressing theevent, deputy head of the sub-committee for enterprise reform, HuynhTrung Lam, said 14 SOEs under city governance are required to withdrawover 3.6 trillion VND (171 million USD) from non-core areas in 2015.

However, the amount divested by the SOEs in the first quarter of 2015 is a mere 307 billion VND (14.6 million USD).

Accordingto the city’s leaders, the divestment has been delayed by anunderperforming stock market, an abundance of stock supplies tobusinesses, and a myriad of regulations that must be abided.

Vice chairman of the HCM City People’s Committee Le Manh Ha requestedSOEs pledged to complete their divestment process by the end of the yearand take moves to quicken the process.

In 2014, there were 107 enterprises under the city management, with 15 of them being restructured.-VNA
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